Risks to the revenue and collection cycle
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Explain some risks to the revenue and collection cycle that are the result of improper revenue collection.
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Solution Summary
The solution provides a listing of seven types of problems or risks when revenue is improperly reported.
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When improper revenue amounts are reported as income, the risks are that
1. Revenue is overstated (or even understated) and usually the result of a timing issue or cut-off problem.
2. Revenue ...
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